IDEAS home Printed from https://ideas.repec.org/p/ags/iaae18/277477.html
   My bibliography  Save this paper

The effect of land tenure governance on grain efficiency: Evidence from three provinces in eastern China

Author

Listed:
  • Shi, X.
  • Zhou, Y.
  • Heerink, N.
  • Ma, X.

Abstract

This study aims to identify the mechanisms through which land tenure governance affects grain efficiency in an integrated framework and to examine the impacts of the public governance, village self-governance, and relational governance of land tenure on the technical efficiency of contracted land and rented-in land. Farm level survey data collected from Liaoning, Jiangxi, and Jiangsu provinces covering the years of 2014 and 2015 is used for the empirical analysis. The findings indicate that (i) public governance associated with land certification significantly increases the technical efficiency of grain production; (ii) village self-governance and administrative land reallocations can serve as substitutes for the land rental market in optimizing the distribution of land resources and improving technical efficiency; and (iii) compared to multi-year transfer contracts, both annual and open-ended transfer contracts have negative impacts on technical efficiency. Keywords: land tenure governance, tenure security, technical efficiency, China Acknowledgement : Financial support for this paper has been gratefully received from the Natural Science Foundation of China (71373127, 71573134, 71773054 and 71603121) and the Postdoctoral Science Foundation of China (2016M601839).

Suggested Citation

  • Shi, X. & Zhou, Y. & Heerink, N. & Ma, X., 2018. "The effect of land tenure governance on grain efficiency: Evidence from three provinces in eastern China," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277477, International Association of Agricultural Economists.
  • Handle: RePEc:ags:iaae18:277477
    DOI: 10.22004/ag.econ.277477
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/277477/files/926.pdf
    Download Restriction: no

    File URL: https://libkey.io/10.22004/ag.econ.277477?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Hart, Oliver D & Moore, John, 1988. "Incomplete Contracts and Renegotiation," Econometrica, Econometric Society, vol. 56(4), pages 755-785, July.
    2. Holden, Stein T. & Deininger, Klaus & Ghebru, Hosaena, 2007. "Impact of Land Certification on Land Rental Market Participation in Tigray Region, Northern Ethiopia," MPRA Paper 5211, University Library of Munich, Germany.
    3. Jin Yang & Hui Wang & Songqing Jin & Kevin Chen & Jeffrey Riedinger & Chao Peng, 2016. "Migration, local off-farm employment, and agricultural production efficiency: evidence from China," Journal of Productivity Analysis, Springer, vol. 45(3), pages 247-259, June.
    4. Yanjie Zhang & Xiaobing Wang & Thomas Glauben & Bernhard Brümmer, 2011. "The impact of land reallocation on technical efficiency: evidence from China," Agricultural Economics, International Association of Agricultural Economists, vol. 42(4), pages 495-507, July.
    5. Li, Guo & Rozelle, Scott & Brandt, Loren, 1998. "Tenure, land rights, and farmer investment incentives in China," Agricultural Economics, Blackwell, vol. 19(1-2), pages 63-71, September.
    6. Ghebru, Hosaena & Holden, Stein T., 2015. "Technical Efficiency and Productivity Differential Effects of Land Right Certification: A Quasi-Experimental Evidence," Quarterly Journal of International Agriculture, Humboldt-Universitaat zu Berlin, vol. 54(1), pages 1-31, February.
    7. Philip J. Dawson & John Lingard & Christopher H. Woodford, 1991. "A Generalized Measure of Farm-Specific Technical Efficiency," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(4), pages 1098-1104.
    8. Hanan G. Jacoby & Guo Li & Scott Rozelle, 2002. "Hazards of Expropriation: Tenure Insecurity and Investment in Rural China," American Economic Review, American Economic Association, vol. 92(5), pages 1420-1447, December.
    9. Galiani, Sebastian & Schargrodsky, Ernesto, 2010. "Property rights for the poor: Effects of land titling," Journal of Public Economics, Elsevier, vol. 94(9-10), pages 700-729, October.
    10. Sarah Gavian & Simeon Ehui, 1999. "Measuring the production efficiency of alternative land tenure contracts in a mixed crop‐livestock system in Ethiopia," Agricultural Economics, International Association of Agricultural Economists, vol. 20(1), pages 37-49, January.
    11. Liangliang Gao & Jikun Huang & Scott Rozelle, 2012. "Rental markets for cultivated land and agricultural investments in China," Agricultural Economics, International Association of Agricultural Economists, vol. 43(4), pages 391-403, July.
    12. Mullan, Katrina & Grosjean, Pauline & Kontoleon, Andreas, 2011. "Land Tenure Arrangements and Rural-Urban Migration in China," World Development, Elsevier, vol. 39(1), pages 123-133, January.
    13. Ma, Xianlei & Heerink, Nico & Feng, Shuyi & Shi, Xiaoping, 2017. "Land tenure security and technical efficiency: new insights from a case study in Northwest China," Environment and Development Economics, Cambridge University Press, vol. 22(3), pages 305-327, June.
    14. Jeffrey D. Michler & Gerald E. Shively, 2015. "Land Tenure, Tenure Security and Farm Efficiency: Panel Evidence from the Philippines," Journal of Agricultural Economics, Wiley Blackwell, vol. 66(1), pages 155-169, February.
    15. Bouquet, Emmanuelle, 2009. "State-Led Land Reform and Local Institutional Change: Land Titles, Land Markets and Tenure Security in Mexican Communities," World Development, Elsevier, vol. 37(8), pages 1390-1399, August.
    16. Federico Belotti & Silvio Daidone & Giuseppe Ilardi & Vincenzo Atella, 2013. "Stochastic frontier analysis using Stata," Stata Journal, StataCorp LP, vol. 13(4), pages 718-758, December.
    17. Renato Villano & Euan Fleming, 2006. "Technical Inefficiency and Production Risk in Rice Farming: Evidence from Central Luzon Philippines," Asian Economic Journal, East Asian Economic Association, vol. 20(1), pages 29-46, March.
    18. Kumbhakar,Subal C. & Wang,Hung-Jen & Horncastle,Alan P., 2015. "A Practitioner's Guide to Stochastic Frontier Analysis Using Stata," Cambridge Books, Cambridge University Press, number 9781107029514.
    19. Deininger, Klaus & Jin, Songqing, 2006. "Tenure security and land-related investment: Evidence from Ethiopia," European Economic Review, Elsevier, vol. 50(5), pages 1245-1277, July.
    20. Joskow, Paul L, 1987. "Contract Duration and Relationship-Specific Investments: Empirical Evidence from Coal Markets," American Economic Review, American Economic Association, vol. 77(1), pages 168-185, March.
    21. Deininger, Klaus & Jin, Songqing, 2005. "The potential of land rental markets in the process of economic development: Evidence from China," Journal of Development Economics, Elsevier, vol. 78(1), pages 241-270, October.
    22. Klaus Deininger & Daniel Ayalew Ali & Tekie Alemu, 2011. "Impacts of Land Certification on Tenure Security, Investment, and Land Market Participation: Evidence from Ethiopia," Land Economics, University of Wisconsin Press, vol. 87(2), pages 312-334.
    23. Yoder, Jonathan & Hossain, Ishrat & Epplin, Francis & Doye, Damona, 2008. "Contract duration and the division of labor in agricultural land leases," Journal of Economic Behavior & Organization, Elsevier, vol. 65(3-4), pages 714-733, March.
    24. Nkamleu, G. B. & Adesina, A. A., 2000. "Determinants of chemical input use in peri-urban lowland systems: bivariate probit analysis in Cameroon," Agricultural Systems, Elsevier, vol. 63(2), pages 111-121, February.
    25. Hung-jen Wang & Peter Schmidt, 2002. "One-Step and Two-Step Estimation of the Effects of Exogenous Variables on Technical Efficiency Levels," Journal of Productivity Analysis, Springer, vol. 18(2), pages 129-144, September.
    26. Chen, Adam Zhuo & Huffman, Wallace E. & Rozelle, Scott, 2003. "Technical Efficiency Of Chinese Grain Production: A Stochastic Production Frontier Approach," 2003 Annual meeting, July 27-30, Montreal, Canada 22116, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    27. Gavian, Sarah & Ehui, Simeon, 1999. "Measuring the production efficiency of alternative land tenure contracts in a mixed crop-livestock system in Ethiopia," Agricultural Economics, Blackwell, vol. 20(1), pages 37-49, January.
    28. Ma, Xianlei & Heerink, Nico & van Ierlan, Ekko & Lang, Hairu & Shi, Xiaoping, 2015. "Impact of Tenure Security and Trust on Land Rental Market Development in Rural China," 2015 Conference, August 9-14, 2015, Milan, Italy 212219, International Association of Agricultural Economists.
    29. F. Place & K. Otsuka, 2002. "Land Tenure Systems and Their Impacts on Agricultural Investments and Productivity in Uganda," Journal of Development Studies, Taylor & Francis Journals, vol. 38(6), pages 105-128.
    30. Besley, Timothy, 1995. "Property Rights and Investment Incentives: Theory and Evidence from Ghana," Journal of Political Economy, University of Chicago Press, vol. 103(5), pages 903-937, October.
    31. Yoder, Jonathan & Hossain, Ishrat & Epplin, Francis & Doye, Damona, 2008. "Contract duration and the division of labor in agricultural land leases," Journal of Economic Behavior & Organization, Elsevier, vol. 65(3-4), pages 714-733, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Xianqing Ji & Shouying Liu & Jianan Yan & Youyi Li, 2021. "Does Security of Land Operational Rights Matter for the Improvement of Agricultural Production Efficiency under the Collective Ownership in China?," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 29(1), pages 87-108, January.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wang, Hui & Riedinger, Jeffrey & Jin, Songqing, 2015. "Land documents, tenure security and land rental development: Panel evidence from China," China Economic Review, Elsevier, vol. 36(C), pages 220-235.
    2. Reshmi Kumari & Yuko Nakano, 2016. "Does land lease tenure insecurity cause decreased productivity and investment in the sugar industry? Evidence from Fiji," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 60(3), pages 406-421, July.
    3. Xu, Yuting & Huang, Xianjin & Bao, Helen X.H. & Ju, Xiang & Zhong, Taiyang & Chen, Zhigang & Zhou, Yan, 2018. "Rural land rights reform and agro-environmental sustainability: Empirical evidence from China," Land Use Policy, Elsevier, vol. 74(C), pages 73-87.
    4. Derek G. Stacey, 2011. "Tenure Insecurity, Adverse Selection, And Liquidity In Rural Land Markets," Working Paper 1269, Economics Department, Queen's University.
    5. Hui Mao & Yujia Chai & Shaojian Chen, 2021. "Land Tenure and Green Production Behavior: Empirical Analysis Based on Fertilizer Use by Cotton Farmers in China," IJERPH, MDPI, vol. 18(9), pages 1-18, April.
    6. Yuepeng Zhou & Xianlei Ma & Dengyan Ji & Nico Heerink & Xiaoping Shi & Hongbin Liu, 2018. "Does Property Rights Integrity Improve Tenure Security? Evidence from China’s Forest Reform," Sustainability, MDPI, vol. 10(6), pages 1-18, June.
    7. Beyene, Abebe D. & Bezabih, Mintewab & Gebreegziabher, Zenebe, 2012. "Contract Duration under Incomplete Land Ownership Rights: Empirical Evidence from Rural Ethiopia," Discussion Papers dp-12-09-efd, Resources For the Future.
    8. Daniel Ayalew Ali & Stefan Dercon & Madhur Gautam, 2011. "Property rights in a very poor country: tenure insecurity and investment in Ethiopia," Agricultural Economics, International Association of Agricultural Economists, vol. 42(1), pages 75-86, January.
    9. Macours, Karen & Janvry, Alain de & Sadoulet, Elisabeth, 2010. "Insecurity of property rights and social matching in the tenancy market," European Economic Review, Elsevier, vol. 54(7), pages 880-899, October.
    10. Ali, Daniel Ayalew & Deininger, Klaus & Goldstein, Markus, 2014. "Environmental and gender impacts of land tenure regularization in Africa: Pilot evidence from Rwanda," Journal of Development Economics, Elsevier, vol. 110(C), pages 262-275.
    11. Kotchikpa Gabriel Lawin & Lota Tamini, 2018. "Droits de propriété foncière et performance des petits producteurs agricoles des pays en développement : une synthèse de la littérature empirique," CIRANO Working Papers 2018s-05, CIRANO.
    12. Ayalew, Hailemariam & Admasu, Yeshwas & Chamberlin, Jordan, 2021. "Is land certification pro-poor? Evidence from Ethiopia," Land Use Policy, Elsevier, vol. 107(C).
    13. Deininger, Klaus & Jin, Songqing & Xia, Fang & Huang, Jikun, 2014. "Moving Off the Farm: Land Institutions to Facilitate Structural Transformation and Agricultural Productivity Growth in China," World Development, Elsevier, vol. 59(C), pages 505-520.
    14. Ma, X. & Zhou, Y. & Heerink, N. & Shi, X. & Liu, H., 2018. "Tenure security, social relations and contract choice: Endogenous matching in the Chinese land rental market," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277478, International Association of Agricultural Economists.
    15. ZHU, WENJUE & Luo, Biliang & Paudel, Krishna P., 2018. "The Influence of Land Titling Policy on the Rural Labor Migration to City: Evidence from China," 2018 Annual Meeting, August 5-7, Washington, D.C. 274163, Agricultural and Applied Economics Association.
    16. Place, Frank, 2009. "Land Tenure and Agricultural Productivity in Africa: A Comparative Analysis of the Economics Literature and Recent Policy Strategies and Reforms," World Development, Elsevier, vol. 37(8), pages 1326-1336, August.
    17. Fenske, James, 2011. "Land tenure and investment incentives: Evidence from West Africa," Journal of Development Economics, Elsevier, vol. 95(2), pages 137-156, July.
    18. Tang, Liang & Ma, Xianlei & Zhou, Yuepeng & Shi, Xiaoping & Ma, Jia, 2019. "Social relations, public interventions and land rent deviation: Evidence from Jiangsu Province in China," Land Use Policy, Elsevier, vol. 86(C), pages 406-420.
    19. Adewale Henry Adenuga & Claire Jack & Ronan McCarry, 2021. "The Case for Long-Term Land Leasing: A Review of the Empirical Literature," Land, MDPI, vol. 10(3), pages 1-21, March.
    20. David Clark, 2005. "Towards a Unified Framework for Understanding the Depth, Breadth and Duration of Poverty," Economics Series Working Papers GPRG-WPS-020, University of Oxford, Department of Economics.

    More about this item

    Keywords

    Land Economics/Use;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:iaae18:277477. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: https://edirc.repec.org/data/iaaeeea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/iaaeeea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.